Precinct Properties Nz Ltd & Precinct Properties Investments Ltd · NZX:PCT
Precinct Properties Nz Ltd & Precinct Properties Investments — Precinct Properties New Zealand — Shareholder Meeting (November 2023)
34 slides from Precinct Properties Nz Ltd & Precinct Properties Investments's shareholder meeting presentation, Nov 14, 2023
Slide 1: Annual Meeting of Shareholders
Annual Meeting of Shareholders 14 November 2023
Slide 2: Welcome
Welcome and good morning Craig Stobo, Independent Director and Chair
Slide 3: Online questions and voting
Online questions and voting • Questions can now be submitted through the webcast • Questions will be addressed at relevant time in meeting • Opening of voting
Slide 4: Board and Executive Team
Board and Executive Team Board of Directors Craig Stobo Nicola Greer Independent Director and Chair Independent Director Anne Urlwin Mark Tume Independent Director and incoming Chair Independent Director Graeme Wong Chris Judd Independent Director Independent Director Chris Meads Future Director Ind
Slide 5: Meeting agenda
Meeting agenda • Review business performance and activity • Shareholder questions and discussion. • Consider and vote on six resolutions: • Four Precinct Properties New Zealand Limited Resolutions • Two Precinct Properties Investments Limited Resolutions
Slide 6: Stapled company structure
Stapled company structure •Effective date of Stapling 1 July 2023 • Special shareholder meeting held in May 2023 with 99.92% of Shareholder votes received in favour • Board approval was given in June 2023 •Allows Precinct to continue to execute its strategy whilst retaining PIE status.
Slide 7: Board succession and changes
Board succession and changes • Anne Urlwin appointed as Chair − Replaces current Chair (Craig Stobo) • Newly appointed Independent Director − Chris Meads • Majority of Independent Directors maintained • Future Director Alana Barron joins Precinct
Slide 8: Director Remuneration
Director Remuneration • Director remuneration last reviewed in 2021 • Regulatory landscape has continued to change, with increased regulatory risk and obligations • Full transparency of Director fees • Engaged independent advisors PwC to provide independent remuneration benchmarking of non- executiv
Slide 9: 2023 results highlights
2023 results highlights 99% Portfolio occupancy $102.1m Operating income after tax $130.2m Net property income
Slide 10: Strategic initiatives
Strategic initiatives $1.6b Capital partnerships established $680m Asset disposals $150m Subordinated convertible note Photo credit: Simon Devitt
Slide 11: Sustainability at Precinct
Sustainability at Precinct Sustainable development is an imperative for New Zealand and remains central to Precinct's business.
Slide 12: ESG responses
ESG responses •Clear focus on progressing strategies to reduce our negative impacts and scale positive impacts. •Committed to the World Green Building Council Net Zero Carbon Buildings Commitment and a target that all assets be certified Green by 2030. •Prepared interim climate-related disclosures,
Slide 13: Current performance benchmarks
Current performance benchmarks •GRESB score of 86 • Global average 75 •public disclosure level “A” •Toitū carbonzero certified •CDP results in coming months
Slide 14: FY24 dividends
FY24 dividends 6.75cents per stapled security Total combined FY24 dividends guidance for Precinct Properties New Zealand Limited and Precinct Properties Investment Limited 15 December 2023 FY24 Q1 dividends payment
Slide 15: Delivering on Strategy
Delivering on Strategy The active management of Precinct’s high-quality portfolio is supporting both the evolution and execution of our strategy.
Slide 16: Introduction
Introduction • Extended Capital Partnerships • Secured new development opportunities • Ensure Precinct remains a market leader and retains key talent
Slide 17: Capital Partnering to date
Capital Partnering to date • Partnered with Singaporean sovereign wealth fund GIC Continued • Established partnership with execution private asset manager PAG of strategy • Partnered with PAG to form a Joint Venture with Ngāti Whātua Ōrākei
Slide 18: Key themes
Key themes • Strong execution on strategy achieved to date $1.6b Capital partnerships (completion value) • Continued occupier demand for well-located, premium quality office accommodation resulting in strong rental growth • Higher inflation and rising interest costs placing further pressure on valua
Slide 19: Portfolio highlights
Portfolio highlights 99% 13.8% Portfolio Growth in contract occupancy rents on new leases 6.0years 53,000sqm Weighted average Leasing completed lease term in FY24 Photo credit: Simon Devitt
Slide 20: Development overview
Development overview • Development projects under construction totals 74,000sqm valued at $1.0b • Total of $1.8b of development completions since 2017, with Bowen Campus Stage 2 and Willis Lane opened in the period • Development pipeline replenished in the period through commitment to Wynyard Quarte
Slide 21: One Queen Street, Wynyard Quarter Stage 3, Bowen House
Artist Impression – 61 Molesworth One Queen Street Wynyard Quarter Stage 3 Bowen House Street
Slide 22: The Domain Collection and FABRIC Stage 2
Artist Impression – The Domain Collection Artist Impression – FABRIC Stage 2
Slide 23: Conclusion and outlook
Conclusion and outlook • Precinct supported by the strength of our office markets in Auckland and Wellington • Development pipeline remains robust • Capital partnering has delivered a diverse source of capital and improved return on equity • While rising interest rates and global uncertainty remain,
Slide 24: Shareholder Q&A
Shareholder Q&A
Slide 25: Anne Urlwin, Incoming Chair
AnneUrlwin Incoming. Chair
Slide 26: Formal Business
Formal Business
Slide 27: Resolution 1: Election of Director
Precinct Resolution 1: Election of Director That Chris Meads be elected as a director of Precinct Properties New Zealand Limited The Board unanimously recommend that shareholders vote in favour
Slide 28: Resolution 2: Directors' Remuneration
Precinct Resolution 2: Directors' Remuneration That, in accordance with NZX Listing Rule 2.11.1, the amount payable to any person who from time to time holds office as a Director of Precinct be increased pursuant to the per position sums shown in the “Proposed Remuneration” column of the table conta
Slide 29: Resolution 3: Auditor's Remuneration
Precinct Resolution 3: Auditor's Remuneration That the directors be authorised to fix the remuneration of Ernst & Young as auditor for Precinct Properties New Zealand Limited for the ensuing year.
Slide 30: Resolution 4: Minor alteration to constitution of Precinct
Precinct Resolution 4: Minor alteration to constitution of Precinct That the constitution of Precinct Properties New Zealand Limited is amended by deleting clause 4 of Schedule 2 and substituting the following: 4 Proxy form must be sent or made available with notice A proxy form must be sent or made
Slide 31: Resolution 5: Auditor's Remuneration
Precinct Investments Resolution 5: Auditor's Remuneration That the directors be authorised to fix the remuneration of Ernst & Young as auditor for Precinct Properties Investments Limited for the ensuing year.
Slide 32: Resolution 6: Minor alteration to constitution of Precinct Investments
Precinct Investments Resolution 6: Minor alteration to constitution of Precinct Investments That the constitution of Precinct Properties Investments Limited is amended by deleting clause 4 of Schedule 2 and substituting the following: 4 Proxy form must be sent or made available with notice A proxy f
Slide 33: Voting and closure
Voting and closure •We will now proceed to a poll and conclude the meeting •The results will be announced to the NZX
Slide 34: Thank you
Thank you Thank you
Precinct Properties New Zealand — Shareholder Meeting (November 2023) on 6ix